MASTER LIMITED PARTNERSHIPS

Tuesday, October 07, 2008

After a brief rise the dow is down and the mlp index is also down by 1.50. Nustar (NS) is the biggest loser down 1.75. Also seeing sizeable losses in gp's like Nustar Holdings(NSH) Penn Virginia Holdings(PVG) Hiland Holdings(HPGP)and Buckeye Holdings (BGH).

A few winners on the list like Oneok (OKS) which is up 1. Alliance Resource(AHGP)Natural Resource (NRP) Boardwalk (BWP) and Amerigas (APU) among the fractional winners.

Lots of nervousness around today. I'm actually kind of glad we're not seeing a big rally right off the bat as it would be just another rally to sell into.

6 comments:

Anonymous said...: Do you think there will be any accumulation of MLP units before quarterly distribution times at the end of October or beginning of November?; 10/07/2008 12:18 PM
Anonymous said...: no. MLPs are screwed for a long time. Several MLP hedge funds are in the liquidation process. The others are now seeing substantial redemptions and will all surely close(funds can't be down 40% in a two month period). Lehman and all the other bank prop trading groups are pulling of the space. The issue is, MLPs look cheap right now, but so does everything else.; 10/07/2008 12:24 PM
Anonymous said...: Cheer up!

This link gets you to a great presentation by Swank Capital, sponsor of the Cushing Closed-end-SRV fund).

http://www.swankcapital.com/media/MLP_Market_Update_10072008.pdf

Dave; 10/07/2008 1:01 PM
Anonymous said...: There are several factors going on here.

1) Buy on Dip, has been a disaster.

2) Hedge fund + mutual fund liquidation.

3)Investors have been murdered in this market, only traders make money.

4)CREDIT FEARS

#3 Threatens MLP viability so why should any remaining Investors put in fresh money until there is full positive clarity on the credit fears.; 10/07/2008 1:04 PM
Anonymous said...: LOL #4 Threatens MLP viability so why should any remaining Investors put in fresh money until there is full positive clarity on the credit fears.; 10/07/2008 1:04 PM
joewxman said...: amazing that i avoided the tech bubble burst in 2000-2002.; 10/07/2008 2:12 PM